And portions of Troup and Merither Counties, South of Georgia Highway 109, LaGrange, Georgia.

Market Recovery Program

PLUMBERS AND STEAMFITTERS LOCAL UNION NO. 52MARKET RECOVERY PROGRAM

1. Introduction

This document constitutes the internal guidelines for the operation of the United Association Local No. 52 Market Recovery Program. These guidelines can be changed, amended or altered by the Business Manager. In the event there is any change, amendment or alteration that directly affects a signatory contractor, all contractors shall be notified.

Employers shall have no role whatsoever in or responsibility concerning the Market Recovery Program.

2. Goals of the Market Recovery Program

The primary goal of the Market Recovery Program includes the securing of jobs for contractors who are signatory to collective bargaining agreements with Local 52 that would normally be done by non-union employers, improving work opportunities for members of Local 52, improving and increasing the market share of work within Local 52's craft and geographic jurisdiction that is performed by contractors signatory to collective bargaining agreements with Local 52, restoring competition by allowing Local 52 contractors to compete effectively with non-union contractors and to explore ways to increase productivity on the jobsite.

3. Notification of Signatory Contractors of the Market Recovery Program

Upon the establishment of the Market Recovery Program, a letter will be sent to all Signatory Contractors advising them of the Market Recovery Program, its parameters, the procedure to request funds for a selected job and the various forms that an employer must sign if he wishes to receive funds from the Market Recovery Program. A similar letter shall be given to each employer who becomes signatory to a collective bargaining agreement with Local Union 52 after the Market Recovery Program is implemented.

4. Jobs Eligible for a Grant from the Market Recovery Program

Local 52 will selectively use funds from the Market Recovery Program to preserve work for its members. Where there is serious non-union competition for a project, a signatory contractor may request financial assistance from the Market Recovery Program in an attempt to improve its competitive position in the bidding process. Local Union 52 may also, on its own initiative, establish a supplement rate on a job even though no signatory employer has requested a supplement rate. Projects of all sizes and types that are covered by the collective bargaining agreement will be eligible under this program.

In order to be eligible for a grant from the Market Recovery Program, the job or construction project must meet the following criteria:

a. There is expected to be non-union competition for the job or construction project;

b. The job must be within Local 52's geographic jurisdiction;

c. The job must fall within the work described in the current collective bargaining agreement between Local 52 and Signatory Contractors.

d. The funding of the job must meet one or more of the goals of the Market Recovery Program; and

e. The job is private and not subject to the Davis-Bacon Act, or any other prevailing wage condition.

5. Employers Eligible to Receive Funds from the Market Recovery Program

To be eligible for funds, an employer must be signatory to a collective bargaining agreement with Local Union 52 or to a National Agreement with the United Association. An employer who signs a "project agreement" is not eligible to receive funds from the Market Recovery Program; and

The employer must be current in payment of its fringe benefit contributions to the various Plumbers & Steamfitters Local Union 52 Fringe Benefit Trust Funds at the time the job is bid and awarded.

6. Responsibility for Determining Jobs Eligible for Grants from the Market Recovery Program and the Amount of Money to be Awarded

The Business Manager of Local 52, shall have sole responsibility to determine which job(s) shall be eligible for an award of funds from the Market Recovery Program. The Business Manager, shall also have sole responsibility to determine the amount of money to be awarded for a job under the Market Recovery Program based upon the hour bids received from the employer.

The Business Manager shall not discriminate in favor of or against any signatory employer, and all employers shall have a fair and equal opportunity to receive grants under the Market Recovery Program so long as the job meets on or more of the goals of the Market Recovery Program.

7. Procedure for Signatory Employers to Request Assistance from the Market Recovery Program The principle method for determining which job(s) shall receive a grant from the Market Recovery Program will be through information supplied to Local Union 52 by signatory employers. In the event that a signatory employer believes a job is likely to be done non-union absent a grant from the Market Recovery Program, the employer is requested to bring the job to the attention of the Business Manager, form 52-02. The Business Manager may also select jobs on his own initiative. If time allows, it is preferable to bring the job to the attention of the Business Manager in writing. Requests to have a job selected and for funds from the Market Recovery Program should be received at least forty-eight (48) hours before the bid date.

The following information should be brought to the Business Manager's attention regardless of whether the request for assistance is in writing or verbal:

Jobs selected under the Market Recovery Program shall be communicated to the Signatory Contractors. Signatory contractors must obtain information concerning jobs selected on their own initiative by contacting the Local Union.

8. Award of Financial Support

Each project for which funds are requested will be dealt with on an individual basis. The Business Manager, will take into account the competition, both union and non-union, the policy of the awarding entity, the market itself, the man hours at stake, the availability of existing funds and the timing of the request. These factors, when taken into consideration with the experience of the Business Manager and the experience acquired under the Market Recovery Program, will provide the basis upon which Local 52 will be able to place signatory contractors on an equal competitive footing with the non-union employer(s) when bidding on a project.

Only journeyman and foremen hours worked on the selected job are eligible for support from the Market Recovery Program. Apprentice and pre-apprentice hours worked are not eligible for support from the Market Recovery Program.

Any employer seeking to take advantage of the Market Recovery Program on a particular job will deposit with Local 52 a sealed envelope, form 52-04, showing the estimated hours, form 52-03, he has included in his bid for the job. The amount of financial support from the Market Recovery Program shall be limited to no more than the number of estimated hours which the employer has included in his bid for the job. In the event that the hours worked exceed the estimate, no further funds will be made available from the Market Recovery Program to the employer.

The award of funds from the Market Recovery Program will be a direct reimbursement to the employer and will be based upon weekly field reports which will show the name(s) of the journeymen and foremen working on the project during the week and the number of hours worked. The weekly field report must be signed by the supervisor on the project.

9. Procedure for the Award of Financial Support

In the event a Union contractor is awarded the contract on a selected job, the contractor shall notify the Union in writing of his successful bid. Local 52 will issue a confirmation of grant eligibility, form 52-06, to be signed by the Business Manager and countersigned by the employer.

Employers working on a project under the Market Recovery Program must send a weekly field report, form 52-07, to Local 52 on a weekly basis and, further, will provide a monthly report, form 52-08, to verify the hours previously reported weekly. The Business Manager or his designee will review these reports and, if the reports appear accurate, payment will be issued directly to the employer.

10. No effect on negotiated wages, hours and other terms and conditions of employment

The purpose of the Market Recovery Program is to provide a bid supplement to employers working on selected jobs. There are no other changes in wage rates and fringe benefit rates in the collective bargaining agreement. Furthermore, an employer is obligated to pay all fringe benefit contributions provided under the collective bargaining agreement in a timely manner. If an employer fails to pay fringe benefit contributions or assessments in a timely manner, the Market Recovery Program reserves the right to alter and re-direct payment of any bid supplement monies from the employer to the Trust Funds or the Union by issuing checks naming the appropriate funds when bid supplement monies are due.